Distance Weighted Moving Average — Indicator by everget

movingaverage wma distance robust weighted

Adopted to Pine from http://systemtradersuccess.com/distance-weighted-moving-averages-dwma-idwma/

They wrote that this average is designed to be a robust version of a moving average to reduce the impact of outliers, but I dont see a significant difference comparing it with SMA. So, I published it for the educational purposes.

To learn more about the robust filters and averages google Hampel Filter, Interquartile Range Filter and Recursive Median Filter (or any other filter that is based on quartiles).

Good luck!

Freelance -> Telegram: @alex_everget

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